In the evolving landscape of digital marketing, composability has emerged as a transformative force, reshaping how businesses manage and utilize customer data. MessageGears, a leader in the field, recently highlighted this trend in a comprehensive report surveying 300 enterprise technology, marketing, and martech professionals across the U.S. and U.K.
### Understanding Composability
To grasp the impact of composability, it’s essential to clarify what it entails. Traditional Customer Data Platforms (CDPs) have long served as standalone systems that store customer data on internal servers, facilitating data activation across multiple channels. However, many brands have opted for specialized solutions for data activation instead of relying solely on CDPs.
In contrast, composable CDPs leverage existing data infrastructure, such as data warehouses or lakes, without creating redundant copies of data. This approach often involves reverse ETL processes, where data is extracted from sources like Databricks or Snowflake. The goal is to activate data directly from its source, minimizing duplication and enhancing efficiency.
The term “composable” itself can be somewhat elusive. In martech, it refers to two main concepts: the ability of applications to access data from centralized repositories and the assembly of martech stacks using best-of-breed solutions. Both interpretations emphasize flexibility and integration.
### Key Findings from the MessageGears Report
MessageGears’ report sheds light on significant trends shaping the industry:
– **Preference for Composability:** Over half (56%) of organizations seeking new platforms prefer composable CDPs over traditional ones.
– **Cloud Data Warehouse Adoption:** A substantial 70% of enterprise brands have invested in cloud data warehouses, with 47% utilizing them for customer engagement.
– **Multiple CDP Usage:** An overwhelming 90% of brands use more than one CDP, yet only 10% feel their current CDP meets their needs, with a mere 1% confident in future capabilities.
– **Desired Capabilities:** The top sought-after features in CDPs include predictive analytics/AI (67%), data security (66%), and deep analytics (65%).
These findings underscore a shift in the CDP landscape, driven by demands for more agile, integrated solutions.
### The Implications of Composability
The rise of composability presents both opportunities and challenges. For large B2B enterprises, it offers a way to integrate diverse data sources, extending beyond marketing and sales. However, smaller organizations may find traditional CDPs more suited to their needs, as they typically don’t require extensive data integration.
Moreover, customer engagement platforms are increasingly emphasizing real-time, personalized interactions, challenging traditional CDPs focused on data storage and management. This evolution is prompting companies like MessageGears to position themselves as comprehensive solutions, combining the strengths of both CDPs and engagement platforms.
### Conclusion
Composability is not just a buzzword; it’s a pivotal development in the martech space. As enterprises continue to invest in data infrastructure, the ability to seamlessly integrate and activate data across platforms will be crucial. MessageGears’ insights highlight the growing importance of composability in meeting the complex needs of modern businesses.
For those interested, the full MessageGears report provides further details and can be accessed [here](https://8c404.r.a.d.sendibm1.com/mk/cl/f/sh/1t6Af4OiGsGsLbalMK5PIagZm3RadQ/ArJ__FkHSHnw).